Dr Reddy's slumps 7 pc on bourses

Shares of Dr Reddy's Laboratories today slumped as much as 7 per cent in morning trade on reports that a US law firm has filed a class-action suit against the drug company.
In a volatile trade, the shares of the company opened at Rs 3,386.05, and touched an early high of Rs 3,404.75. But fell to a low of Rs 3,140, down 6.97 per cent on BSE.
Similar movement was seen on the NSE, where the stock opened at Rs 3,400 but then lost significant ground and fell to an early low of Rs 3,137.85, down 6.80 per cent. The stock touched a high of Rs 3,405 on the exchange.

On volume front, good numbers were seen as 3.57 lakh shares got traded on BSE and 27.41 lakh shares exchanged hands on the NSE.
Reportedly, the US-based law firm Lundin Law has filed a class action law suit against the drug major, alleging that the company made possible violations of federal securities law.
In a filing to the stock exchanges, Dr Reddy's spokesperson said the company has "always adhered to all disclosure requirements both of the Securities and Exchange Commission (SEC) and Indian stock Exchanges; including accounting practices as per the International Financial Reporting Standards (IFRS) and the Indian Accounting Standards."

"The company has no further comment on what might be advertorial press releases by law firms and refutes all allegations," the company said.